Question

From the week one readings in Chapters 1 and 2 and Online Lesson what are some important decisions that financial managers must make?  Why are these decisions important to the success of the business? 

Answer 1

Some important decisions that a finance manager has to make includes:-

1. Upkeep expenses.

2. Machinery and manpower expenses.

3. Project based expenses.

4. Default expenses such as store and inventory.

5. Implementation of new technology.

6. Wastage expenses such as extra inventory and storage costs.

These decisions are important in the sense that it provides the day to day functioning of the company. All the inventory, supply chain, manpower and project based expenses need to be the major focus as far as the financial manager's duties are considered. This means that some expenses are unavoidable and fixed while some are situation based and all these need to be considered by the manager.